New Landlord - Advice Please - Moving to Australia

AdrianC

There are two jobs an LA can do for you...

* Tenant-finding/-referencing.

This is the easier one of the two, and the one that you're thinking of DIYing. Great, but...

* Property management.

You really don't have a lot of choice about this. Let's say your tenant emails you to say that there's a problem with the plumbing - and the water that's ankle-deep in the flat is dripping into downstairs. What can you do from the far side of the world, in the middle of your night?

LittleMax

AdrianC wrote: »

* Property management.

You really don't have a lot of choice about this. Let's say your tenant emails you to say that there's a problem with the plumbing - and the water that's ankle-deep in the flat is dripping into downstairs. What can you do from the far side of the world, in the middle of your night?

a) Describe exactly where the stopcock is
and
b) call an emergency plumber.

Which is more than the agent would do - they would skip a) as they wouldn't have a clue and go straight to b)!

eddddy

G_M wrote: »

As you are overseas, either
* you need HMRC consent to receive the rent in full and pay tax later, or
* tenant should deduct tax as HMRC can claim it off them, or
* agent in UK who collects rent for you should deduct (whether a professional agent, or your dad...)
see MRC (Non Resident [= overseas] Landlord Scheme)

Just to emphasize, if you are a 'Non Resident Landlord' (i.e. resident in Australia) and the tenant pays rent direct to you, there is quite a heavy burden on the tenant.

The tenant has to:

- Fill in tax forms

- Each month you or the tenant has to calculate the tax payable (taking into account your expenses), and the tenant has to deduct it from the rent they pay you.

- Then every quarter, the tenant has to pay the tax deducted to HMRC.

That might put some tenants off, and if they make a mess of it, you may have some hassle sorting it out. So having an agent (either professional or family) might be better.


Also, as an Australian resident you will be subject to Australian tax. It's worth finding out how their tax system treats income from foreign property. (The tax could be higher or lower than the UK equivalent.)

But I believe that Australia has a double taxation treaty with the UK - so they should take account of the tax you pay to hmrc. i.e. you shouldn't have to pay double tax.

movinghelp

Yes that's why I asked. Our flat was on Rightmove but was landlord direct so wasn't sure how he managed it.

movinghelp

So I've posted on Gumtree and Spareroom (will try upad or easyproperty if I don't have any luck) but am struggling to see how to maximise views without paying. I posted on Gumtree 4 hours ago and it says I have come up 0 times in searches so I must be doing something wrong?

G_M

I might, with caution, use gumtree/spareroom for lodgers, but not for tenants.

Though one hears of so many gumtree scams I wouldn't use it for either.

There is so much potentially at stake that it is worth paying to do it right. OK, avoid High street letting agent fees, but pay an online agent to get you access to Rightmove and then DIY. The cost is minimal.

fatbeetle

I moved to Australia in 2003, and let my house out via a letting agent. They have been invaluable.

I didn't have the option of having friends or relations manage the place, and I'm glad of that now.

movinghelp

Understood, does anyone have any first hand experience of

http://www.upad.co.uk/
or
https://easyproperty.com/residential-lettings

Which would you recommend?

tom9980

I used openrent.co.uk and gumtree the first advert is free on openrent, 30 leads in a couple of weeks was enough to find a tenant who has been in the property for two years now.

teddysmum

The tv licence is the responsibility of the tenant, who may not have/need a tv.